1. TOP 10 Learning Questions for Chapter 16 Managing Retailing, Wholesaling, and Logistics Winnette Flores December 16, 2010 www. winnetteflores.blogspot.com

7. Concept www. winnetteflores.blogspot.com Carrying Cost Processing Cost Storage charges Set-up cost Cost of capital Running cost Taxes and insurance Depreciation and obsolescence

8. Concept Concept Explanation Set-up cost is an order processing costs for a manufacturer. www. winnetteflores.blogspot.com Carrying Cost Processing Cost Storage charges Set-up cost Cost of capital Running cost Taxes and insurance Depreciation and obsolescence Carrying Cost Processing Cost Storage charges Set-up cost Cost of capital Running cost Taxes and insurance Depreciation and obsolescence

11. Concept www. winnetteflores.blogspot.com Order Processing Warehousing Inventory All of the Above Order transmission, order entry and customer credit check Assembly, packaging, and constructing promotional displays. Having enough stock to fill all customer orders immediately. Order-processing, warehousing and inventory.

12. Concept Explanation Most companies like General Electric are trying to shorten the order-to-payment cycle – that is, the elapsed time between an order’s receipt, delivery and payment. www. winnetteflores.blogspot.com Order Processing Warehousing Inventory All of the Above Order transmission, order entry and customer credit check Assembly, packaging, and constructing promotional displays. Having enough stock to fill all customer orders immediately. Order-processing, warehousing and inventory. Order Processing Warehousing Inventory All of the Above Order transmission, order entry and customer credit check Assembly, packaging, and constructing promotional displays. Having enough stock to fill all customer orders immediately. Order-processing, warehousing and inventory.

15. FedEx and Ryder Italy’s Benetton and Walmart - are both retailers. - are third-party suppliers that participate in materials management, material flow systems and physical distribution. Concept www. winnetteflores.blogspot.com

16. FedEx and Ryder Italy’s Benetton and Walmart - are both retailers. - are third-party suppliers that participate in materials management, material flow systems and physical distribution. Concept Concept Explanation FedEx and Ryder participate in market logistics task that calls for integrated logistics system aided by information technology. www. winnetteflores.blogspot.com

19. Concept www. winnetteflores.blogspot.com Small lunch counter Delicatessen Cafeteria Large restaurant Offers narrow and shallow assortment Offers narrow and deep assortment Offers broad and shallow assortment Offers broad and deep assortment

20. Concept Concept Explanation The retailer must decide on product- assortment breadth and depth. A restaurant (small lunch counters) can offer a narrow and shallow assortment. www. winnetteflores.blogspot.com Small lunch counter Delicatessen Cafeteria Large restaurant Offers narrow and shallow assortment Offers narrow and deep assortment Offers broad and shallow assortment Offers broad and deep assortment

23. Concept www. winnetteflores.blogspot.com Growth of Giant Retailers Competition Between store-Based and Non-Store Based Retailing Growth of Intertype Competition New Retail Forms and Combinations Giant retailers that are able to deliver good service and immense volumes of product at appealing prices to masses of consumers Non-store based retailers have sales offers through direct-mail letters and catalogs, and over television, computers and telephones Compete for the same consumers by carrying the same type of merchandise Retailers that experiment the limited-time-only stores called pop-ups that let retailers promote brands

24. Concept Different type of stores – discount stores, catalog showrooms, department stores – specifically Wal-Mart and Tesco all compete for the same consumers by carrying the same type of merchandise Concept Explanation www. winnetteflores.blogspot.com Growth of Giant Retailers Competition Between store-Based and Non-Store Based Retailing Growth of Intertype Competition New Retail Forms and Combinations Giant retailers that are able to deliver good service and immense volumes of product at appealing prices to masses of consumers Non-store based retailers have sales offers through direct-mail letters and catalogs, and over television, computers and telephones Compete for the same consumers by carrying the same type of merchandise Retailers that experiment the limited-time-only stores called pop-ups that let retailers promote brands

27. Concept www. winnetteflores.blogspot.com Full Service Limited Service Self-Selection Self-service - Customers who like to be waited on prefer this type of store - Customers need more information and assistance. - Customers find their own goods, although they can ask for assistance - Many customers are willing to carry out their own locate-compare-select process to save money

28. Concept Concept Explanation Self-service – is the cornerstone of all discount operations. www. winnetteflores.blogspot.com Full Service Limited Service Self-Selection Self-service - Customers who like to be waited on prefer this type of store - Customers need more information and assistance. - Customers find their own goods, although they can ask for assistance - Many customers are willing to carry out their own locate-compare-select process to save money

31. Concept Broad Narrow High Low Value Added Breadth of Product Line www. winnetteflores.blogspot.com Bloomingdale’s Tiffany Wal-Mart Sunglass Hut

32. Concept Broad Narrow High Low Value Added Breadth of Product Line Concept Explanation Tiffany is the store that feature a narrow product assortment and high value added cultivate an exclusive image and operate on high margin and low volume www. winnetteflores.blogspot.com Bloomingdale’s Tiffany Wal-Mart Sunglass Hut

35. Concept www. winnetteflores.blogspot.com One-to-one selling One-to-many selling Avon Tupperware Electrolux Mary Kay Cosmetics Southwestern Company of Nashville

40. Manufacturer is engaged primarily in production and not sell directly to retailers or final consumers. Concept Concept Explanation www. winnetteflores.blogspot.com

42. TOP 10 Learning Questions for Chapter 16 Managing Retailing, Wholesaling, and Logistics Winnette Flores December 16, 2010 www. winnetteflores.blogspot.com